Apple 'completely blown away' by iPhone 5 demand - Page 4

In other words, assuming a conservative figure sales of about 30 Millions iPhones in the quarter (probably much more), according to a rough calculation, they will sell 3000 Tons of a product priced at about 10$ a gram. Amazing, uh ?

I am still not impressed. First, because it's underwhelming in my view from a hardware standpoint. No increase in storage capacity. No water resistance. No push for a bigger display (4.3 inch with the same resolution and still keeping it at above 300ppi for the Retina claims would have been more legible and more finger-friendly than what they chose). Not enough battery life (apparently shaving off two millimeters instead of one is more important than adding four hours of battery life). Second because iOS still is lacking with notifications and customizability compared to Android. And third (though Android is guilty of this too), because it is so obviously overpriced. It costs less than $200 to manufacture a smartphone. But the hysteria is still so great, and the manufacturer-driven, phone company-supported BS about "subsidies" so effective, on both the Apple and Android side of the coin, that people will effectively pay, not the typical 40 percent markup on electronics ($300 to $350 after allowing for shipping and marketing costs), but $550 to $700 for an Android and $650 to $850 for an iPhone.
I look forward to the day when commodity pricing takes hold and the hysteria and me-too faddism of smartphones abate.

What we all seem to fail to note, or appreciate, is that Apple is just a single company, putting out a single phone, versus the ENTIRE INDUSTRY. The industry puts out hundreds of different models, with dozens of different form factors. Handset makers and software makers all making dozens and dozens of upgrades, bells and whistles that their phones can do. Most of those phones are substandard to the iPhone (In my opinion).

Apple cannot keep up with the improvements and 'innovations' of the entire industry in one phone. Some makers seem to come out with a new phone every week. Apple upgrades one handset, once a year. They don't rush half-or even quarter-baked products out into the the market for consumers to fumble with. "The beta test of Windows phone is over!" I'm not even sure what that slogan is supposed to mean. An admission of guilt? Tongue in cheek?

My point is, that Apple puts out the best product they can, with the features they feel are the best for that model. Even now they are working on the new features for NEXT year's model. Don't expect this, or any iPhone, to be able to do everything every other phone can do. In the mean time, Shamesung will have introduced 400 models in that year.....

No. You don't have a clue what you're talking about. The parts cost less than $200. Manufacturing is not included. Shipping is not included. Packaging is not included. Marketing is not included. Prototypes are not included. Research is not included. Testing is not included. Software development is not included.

I look forward to the day when commodity pricing takes hold and the hysteria and me-too faddism of smartphones abate.

And I look forward to the day when you can look back on that post of yours and be embarrassed.

Wow, I'm still debating about staying with my 4s or upgrading. Anyway, I think this is hardly news. It's Apple's way to sell out by the first day, very predictable.
I wonder how much inventory they had and how that compares to the 4s launch. I'll be really really surprised if 5 was not sold out the first few days.

1) The news is they sold out within the first hour. That's 12x faster than last year. Seems to be that's a huge gain. Getting 12x faster next year won't happen unless you think 5 minutes is feasible. As for inventory, we don't know but we can look at the launch cycle they have planned for themselves as a clue. They are building out faster this year than any other year so I think it's a safe assumption that they have more units ready this time. Looking at how far back the leaks from China are for this device is another clue about the ramp up.

2) I don't think you should think about your 4S to 5 upgrade from right now, but consider if you'll be wanting to use your 4S in 3, 6 or 9 months from now. It's been 27 months since the iPhone 4 was released and I really wish I would have kept my 4S now. Home button was fine after a year of constant use but at 2 years not so much.

This bot has been removed from circulation due to a malfunctioning morality chip.

Every year, ever more people are angry that they're at work and can't buy tickets before they're sold out, so that's telling.

Considering it's a static 5-6k number I see that, but the iPhone is different. Interest in Apple is growing much faster than they can expand production but they are clearly increasing it.

It seems doubtful but I do hope they can find a better way to offer WWDC to more people. The videos are nice and they do seem to appear faster then before, so that's something, but I would like to see an option for 2 weeks with no repeat attendees and/or multiple venues with revolving engineers that are trained for these classes instead of essentially shutting down Apple HQ for WWDC.

This bot has been removed from circulation due to a malfunctioning morality chip.

No. You don't have a clue what you're talking about. The parts cost less than $200. Manufacturing is not included. Shipping is not included. Packaging is not included. Marketing is not included. Prototypes are not included. Research is not included. Testing is not included. Software development is not included.

And, yet..., Apple reported in its company filing that the gross margin of its Iphone is around 50%. Translation: it's way overpriced for a consumer electronics. Although, Apple also "complained" that the profit margin for its Ipad is "just hovering" around 25%. Well, at least, the Apple flocks are happy flaunting their riches, or perhaps not, since a great many of them elected to go on to "pay by installment" plans with either their credit cards or big telco's purchase agreements, an extremely foolish decision if they call themselves as financially savvy. It is like getting a a gadget that costs USD650 for about USD1200 to be disposed of later in 24 months for just USD200. That makes a whole lot of economic sense.

Another question is whether most of the [US] users of Apple gadgets are also actually Apple shareholders. I guess this is just repeating Warren Buffet's famous mantra to only "buy what you know". Nevertheless, the shareholders are no doubt ecstatically happy since Apple's share price keeps going higher and higher...

It's great how Apple offers performance and quality that is unparalleled and cheaper than conpetitors for comparable products but they are overpriced because they are also unparalleled at being efficient in how they invest in and build their products combined woth increased scale. I'd love to see the rationale how other companies are altruistc because they can't figure out how to turn a profit.

This bot has been removed from circulation due to a malfunctioning morality chip.

It's great how Apple offers performance and quality that is unparalleled and cheaper than conpetitors for comparable products but they are overpriced because they are also unparalleled at being efficient in how they invest in and build their products combined woth increased scale. I'd love to see the rationale how other companies are altruistc because they can't figure out how to turn a profit.

What is going to give a higher profit margin, a $500 netbook made of cheap materials, or a $1000 Macbook made of quality material? Most companies would give anything for Apple's profit margin. It also speaks volumes about Apple's manufacturing production and distribution methods. You get what you pay for. If you can't afford one, you buy the other.......

What is going to give a higher profit margin, a $500 netbook made of cheap materials, or a $1000 Macbook made of quality material? Most companies would give anything for Apple's profit margin. It also speaks volumes about Apple's manufacturing production and distribution methods. You get what you pay for. If you can't afford one, you buy the other.......

There has always been the high volume crap with slim margins v. high quality with good margins. There was a long time that in the PC and CE realm that the high volume products were very profitable to HW vendors. Apple almost went under during that time. Now we have Apple doing something unheard of by having the best device at the best price for a given quality and being able to produce and sell more units of the same device than any other vendor. I don't there has been such an achievement since Moog branched out Clovis Blade business.Edited by SolipsismX - 9/15/12 at 5:07pm

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Apple charges what the market will bear. And the market isn't only bearing it, it can't wait to get more of it.

Apple can charge an arm and a leg for an iPad (or insert name of your favourite iDevice), and consumers will show up in droves. Acer can charge an arm and a leg for their whatever-device. And within a year it's probably abandonware.

And, yet..., Apple reported in its company filing that the gross margin of its Iphone is around 50%. Translation: it's way overpriced for a consumer electronics.

No, it's not.

Apple's phone is not that much more expensive than a top of the line phone from other vendors. Thus, Apple is charging market price.

The fact that they have super-efficient manufacturing which brings their costs down (and improves margins) does not make it overpriced. Price is determined by the market, not manufacturing cost (other than manufacturing cost setting a minimum that you can sell it for).

"I'm way over my head when it comes to technical issues like this"Gatorguy 5/31/13

It's been 27 months since the iPhone 4 was released and I really wish I would have kept my 4S now. Home button was fine after a year of constant use but at 2 years not so much.

I know what you mean. The home button on my iP4 is slowing beginning to die.......

And, yet, the two of you gave us an example of how disposable Apple's gadget is. After merely two years and spending between USD650 to USD1200, the gadgets you so loved are about to be ready to be flushed down the toilet.

Let me correct your original statement. The crap device is the one which only last months. The less crappy device is the one that lasts a couple of years [in here comes various Apple gadgets, especially Ipods, Iphones]. The best device which commands the profit margin of 50+% will last a lot longer than that. Of course, this is in theory only, in practice, however, Iphone proudly raises its hand as the one deserved to be paid much more than its worth due to its "reliability" and "longevity", and thus the term "Apple tax" was coined. But, for a gadget that can barely lasts for two years, the Iphones certainly do not deserve to be paid premium for.

"Sharp Corp.'s slow production of display screens for Apple Inc.'s iPhone 5 could lead to shortages of the new smartphone if demand is strong, the Nikkei business daily reported Friday without citing sources. The report said engineers from Apple and Taiwan's Hon Hai Precision Industry Co., which assembles the iPhone, needed to help Sharp get mass production started at one key plant, which is now slated to operate at full capacity next month."

Edited by Commodification - 9/16/12 at 3:07pm

We become what we behold. We shape our tools and then our tools shape us.- Marshall McLuhan

And, yet, the two of you gave us an example of how disposable Apple's gadget is. After merely two years and spending between USD650 to USD1200, the gadgets you so loved are about to be ready to be flushed down the toilet.
Let me correct your original statement. The crap device is the one which only last months. The less crappy device is the one that lasts a couple of years [in here comes various Apple gadgets, especially Ipods, Iphones]. The best device which commands the profit margin of 50+% will last a lot longer than that. Of course, this is in theory only, in practice, however, Iphone proudly raises its hand as the one deserved to be paid much more than its worth due to its "reliability" and "longevity", and thus the term "Apple tax" was coined. But, for a gadget that can barely lasts for two years, the Iphones certainly do not deserve to be paid premium for.

Two years is an eternity for the average cell phone.... I know someone who still has the original iPhone, and it's still ticking. As well as several people who still have their 3GS, that they bought when they first came out.....

Here's something that Samsung and others are free to copy, without repercussions.

There are no patents on long lines and there are no patents on having the most desirable phone in the world. Go ahead Samsung, go and copy that, I don't think that Apple can sue you for that. The only problem is that you first have to make an original and amazing product that will cause millions of people to lose sleep and get up in the middle of the night with their credit cards by their side, ready to order said product, causing slow servers and creating a feeding frenzy unlike anything ever seen before.

One thing is for sure, countless people on the internet are apparently infected by the retard virus, a virus which causes certain people to completely lose their minds and it makes these people look like complete idiots and it causes them to make the most outlandish and comical claims. These people are borderline mentally ill and they have a totally warped sense of reality. Anybody with a normally functioning brain could see that the iPhone 5 would be a grand slam from the start!

Anybody claiming that the iPhone 5 was not a significant upgrade is either lying or they are completely clueless. Just about every single component in the iPhone got an upgrade.

And here's a clue, the iPhone 6, iPhone 7 (or whatever they're going to call them) and so on, will also improve upon the iPhone, making the best phone in the world slightly better each time. Only a complete freaking idiot would abandon or drastically change a wildly successful product, which is pretty much what some morons claim to want. If you are young and ignorant or maybe just stupid, go look up "New Coke" and perhaps you'll understand how utterly stupid your ideas sound and you also might learn a thing or two about how successful businesses work and how to avoid historic fiascos.

If iOS is "boring" to you, then perhaps you should ask your mother to up your dosage of Ritalin. I can guarantee you that you will be disappointed in the next iPhone and the next version of iOS also. The simple fact of the matter is that the people have spoken (the people who matter most, customers with money), and the iPhone is the undisputed most desirable and best designed phone on the planet. If you disagree, then you most likely have some oversized, plastic piece of crap in your pocket which runs a vastly inferior OS with enormous lag, that is barely even fit for human consumption. Hell, I wouldn't even buy an Android phone and give it to my dog, if I had one. And you are of course free to use whichever phone you want, just don't pretend that you don't know who the king is.

lol a little crude, but point made.

The reality is most of these other phone on the market today are clear copies of iPhone... but that's the thing about a copy, the very best it can be is as good as the original; but so far even that doesn't seem to be the case.

Perhaps the most humorous are the people that are so upset because the iPhone isn't radically different YoY. I honestly don't think they comprehend just how well Apple understand the customer, understand the technology, understood their strengths to make something so incredibly perfect from day one that all they've had to do since is refine and polish their initial concept.

The best part about this is those same people then go on and post about how Apple is also alienating their market buy CHANGING things such as the Lightning connector and the size of the phone as consumers now have to update their accessories.

I have noted the "I don't like the design" comments, but I think people are more inclined to dislike "different" at first glance. I've always liked the glass sandwich look, but being able to skip the case... if you're feeling daring... is a welcome prospect.
I half-wonder if Apple didn't drop the bumpers to send the message that the case isn't necessary for this phone, like it was for 4 and 4S.
I think it looks up to par even in the pictures, but I agree, not least of what I'm excited for is the in-person experience of the aesthetics.
In regard to the pre-order, I had to be up early today, so I gave it a half hour of trying and decided to do it first thing in the morning when I couldn't get through. Now I've got an Oct 5 delivery date and regret not staying up all night.
Clearly Apple only made two or three hundred for the first run so they could pretend the launch was a success by virtue of the shipping estimates.

Not sure how many others tried this route, but I used the apple store app on my existing iPhone to pre-order and believe it or not (at least for me) the pre-orders went live one minute BEFORE midnight EST lol. Needless to say I'll be anxiously awaiting FedEx come this Friday :P

And, yet, the two of you gave us an example of how disposable Apple's gadget is. After merely two years and spending between USD650 to USD1200, the gadgets you so loved are about to be ready to be flushed down the toilet.
Let me correct your original statement. The crap device is the one which only last months. The less crappy device is the one that lasts a couple of years [in here comes various Apple gadgets, especially Ipods, Iphones]. The best device which commands the profit margin of 50+% will last a lot longer than that. Of course, this is in theory only, in practice, however, Iphone proudly raises its hand as the one deserved to be paid much more than its worth due to its "reliability" and "longevity", and thus the term "Apple tax" was coined. But, for a gadget that can barely lasts for two years, the Iphones certainly do not deserve to be paid premium for.

I would love to see the people complaining about how expensive the iPhone is show us the resale value of an Android phone that cost the same as the iPhone 2 years ago? (Hint: it's a tiny fraction of what the iPhone is worth).

Quote:

Originally Posted by Commodification

Couldn't this be a big reason why iphones 5's sold out so fast (beside it being awesome)?

"Sharp Corp.'s slow production of display screens for Apple Inc.'s iPhone 5 could lead to shortages of the new smartphone if demand is strong, the Nikkei business daily reported Friday without citing sources. The report said engineers from Apple and Taiwan's Hon Hai Precision Industry Co., which assembles the iPhone, needed to help Sharp get mass production started at one key plant, which is now slated to operate at full capacity next month."

I guess I called it - see post #12, option #5.

"I'm way over my head when it comes to technical issues like this"Gatorguy 5/31/13

That's how much you end up paying if you go with your big telco's two year contract. Do you HONESTLY think you only pay USD199 for your Iphone when you signed that two year contract with your telco? I'm sure doing a little arithmetic won't kill you.

That's how much you end up paying if you go with your big telco's two year contract. Do you HONESTLY think you only pay USD199 for your Iphone when you signed that two year contract with your telco? I'm sure doing a little arithmetic won't kill you.

What good is an iPhone without the telco? You're much more their customer than you are Apple's.

"Few things are harder to put up with than the annoyance of a good example" Mark Twain"Just because something is deemed the law doesn't make it just" - SolipsismX

It's going to be curious to see what happens in the next few years. As a pure GSM phone the ATT iPhone could be used worldwide but with those overseas networks going to LTE their frequencies are now more compatible with VZW's iPhone. Now there are as many different versions of the iPhone 5 as there are SGS llls.

"Few things are harder to put up with than the annoyance of a good example" Mark Twain"Just because something is deemed the law doesn't make it just" - SolipsismX

There's a better and more sane solution. You buy your Iphone outright/unlocked, then you choose either call/data contract that suits your need or the pay-as-you-go if you'd like.

Even using your credit card to pay for Iphone makes MORE sense than to buy Iphone with a two year contract. The common interest rate for credit card is around 10%-13%, so you'll end up paying at around USD750 in two years. Meanwhile, paying the telcos monthly installments for two years will make you pay them around 35% interest rate per annum. And you are doing this for what, again? For something which has its value sunk like a rock in a matter of just two years. it sure is not worth it. Iphone 4 two years ago= USD650 cash [USD 1200 with contract], Iphone 4 resale value now = USD200 [Go advertise and sell to craigslist, you'll get at most USD100 more]. That's a whopping lost of value of more than 70% in a matter of just two years. For something that is so revered here at AI touted for its superb QC and unparalleled service, Iphone sure doesn't hold its value very well.

Quote:

Originally Posted by dasanman69

What good is an iPhone without the telco? You're much more their customer than you are Apple's.

Iphone 4 two years ago= USD650 cash [USD 1200 with contract], Iphone 4 resale value now = USD200 [Go advertise and sell to craigslist, you'll get at most USD100 more]. That's a whopping lost of value of more than 70% in a matter of just two years.

That sounds wrong, just like everything trolls say, so I looked it up.

And, yet, the two of you gave us an example of how disposable Apple's gadget is. After merely two years and spending between USD650 to USD1200, the gadgets you so loved are about to be ready to be flushed down the toilet.
Let me correct your original statement. The crap device is the one which only last months. The less crappy device is the one that lasts a couple of years [in here comes various Apple gadgets, especially Ipods, Iphones]. The best device which commands the profit margin of 50+% will last a lot longer than that. Of course, this is in theory only, in practice, however, Iphone proudly raises its hand as the one deserved to be paid much more than its worth due to its "reliability" and "longevity", and thus the term "Apple tax" was coined. But, for a gadget that can barely lasts for two years, the Iphones certainly do not deserve to be paid premium for.

The home button costs like a dollar. I got mine replaced for $10. Yet, when this button begins to get worn out after a few thousand presses (cause, you know, it's a BUTTON, and subject to the rules of physical mechanism wear and tear) the device is ready to be 'flushed down the toilet? Incredible what your twisted, foaming at the mouth hatred makes you say. Sucks all rationality out of any argument (or troll) that you try to make. Apple devices have been the most reliable pieces of technology I ever owned, but that doesn't mean they're somehow impervious or invincible.

There's a better and more sane solution. You buy your Iphone outright/unlocked, then you choose either call/data contract that suits your need or the pay-as-you-go if you'd like.

Even using your credit card to pay for Iphone makes MORE sense than to buy Iphone with a two year contract. The common interest rate for credit card is around 10%-13%, so you'll end up paying at around USD750 in two years. Meanwhile, paying the telcos monthly installments for two years will make you pay them around 35% interest rate per annum. And you are doing this for what, again? For something which has its value sunk like a rock in a matter of just two years. it sure is not worth it. Iphone 4 two years ago= USD650 cash [USD 1200 with contract], Iphone 4 resale value now = USD200 [Go advertise and sell to craigslist, you'll get at most USD100 more]. That's a whopping lost of value of more than 70% in a matter of just two years. For something that is so revered here at AI touted for its superb QC and unparalleled service, Iphone sure doesn't hold its value very well.

$100? You're a shameless, hopeless liar. I just sold my iPhone 4 for $300 last week on Kijiji. For a 2.5 year old, 2 generation old phone, that's pretty damn impressive. The Galaxy Nexus was released only LAST YEAR, at the same price as the 4, yet now can be purchased for $300 NEW.

Why the **** don't you just go buy and use the devices you want, instead of incessantly trolling this forum, which is dedicated to products you claim to not care about, with your vitriolic hate, FUD, and lies? Seriously, how pathetic can you be?

There's a better and more sane solution. You buy your Iphone outright/unlocked, then you choose either call/data contract that suits your need or the pay-as-you-go if you'd like.
Even using your credit card to pay for Iphone makes MORE sense than to buy Iphone with a two year contract. The common interest rate for credit card is around 10%-13%, so you'll end up paying at around USD750 in two years. Meanwhile, paying the telcos monthly installments for two years will make you pay them around 35% interest rate per annum. And you are doing this for what, again? For something which has its value sunk like a rock in a matter of just two years. it sure is not worth it. Iphone 4 two years ago= USD650 cash [USD 1200 with contract], Iphone 4 resale value now = USD200 [Go advertise and sell to craigslist, you'll get at most USD100 more]. That's a whopping lost of value of more than 70% in a matter of just two years. For something that is so revered here at AI touted for its superb QC and unparalleled service, Iphone sure doesn't hold its value very well.

I've looked into your so called better solutions and frankly they are not. They aren't much cheaper and the service is worse. Why buy a Ferrari to then put regular gas in it? The more sane solution is that if you can't afford a smartphone and all that goes with it then don't buy a smartphone.

"Few things are harder to put up with than the annoyance of a good example" Mark Twain"Just because something is deemed the law doesn't make it just" - SolipsismX

Do you not HAVE enough coffee to drink when you woke that morning? Do you have reading comprehension problem? I don't want to use word for you because no words seem to exist to explain your ..... [sorry, couldn't find any words in the dictionary to define your ....]

this was what I had written:

Iphone 4 two years ago= USD650 cash [USD 1200 with contract], Iphone 4 resale value now = USD200 [Go advertise and sell to craigslist, you'll get at most USD100 more].

Do you have problem "deciphering" the meaning when there is none to decipher? Where did I say the Iphone4 will sell for USD100? I said specifically Iphone4 would fetch you USD200, but you can get an additional USD100 MAX if you advertised through craigslist, so that is the grand total of USD300 total max.

Quote:

Originally Posted by Slurpy

$100? You're a shameless, hopeless liar. I just sold my iPhone 4 for $300 last week on Kijiji. For a 2.5 year old, 2 generation old phone, that's pretty damn impressive. The Galaxy Nexus was released only LAST YEAR, at the same price as the 4, yet now can be purchased for $300 NEW.

Why the **** don't you just go buy and use the devices you want, instead of incessantly trolling this forum, which is dedicated to products you claim to not care about, with your vitriolic hate, FUD, and lies? Seriously, how pathetic can you be?

Well, million of Americans seem to have disagreed with you. They apparently can't afford to pay for the Iphone with hard cold cash, unlike those chinese, other affluent asian buyers and buyers from other continents who genuinely can pay for Iphones at any price. So, in droves they'd gone these American Iphone buyers signing their two year contracts to pay up their Iphone purchases, in essence becoming the big telco's cash cow.

Quote:

Originally Posted by dasanman69

I've looked into your so called better solutions and frankly they are not. They aren't much cheaper and the service is worse. Why buy a Ferrari to then put regular gas in it? The more sane solution is that if you can't afford a smartphone and all that goes with it then don't buy a smartphone.

You must not pass your basic arithmetic class. In common cases: You pay USD200 to get your phone from the big telcos. You sign a two year contract. Let's just say every month you pay a minimum of USD75 for the very basic voice/data plan [actually the USD40 was used to pay up your phone and the remainder is for actual call/data rate you pay permonth to the telco, about USD35]. You can now use your basic arithmetic skill, or if you have none, I will do it for you:

USD 200 + (24 * 40) = USD1160

To top of this stupidity, you can resell your mint condition Iphone4 for USD140 at Apple, or sell at USD200 to other folks at Glyde et. al., or you can sell via craigslist or other buy/sell forum and get an additional USD100. Depending on how you start, your barely two year old Iphone 4 is terrible at keeping its value as a consumer electronic. If you get your Iphone 4 via the big telco's two year contract, your Iphone is losing at the very least a whopping 74% of its value [best case scenario buy at USD1160 sell at USD300]. The only parties benefiting from this absurdity are, surprise...surprise..., Apple and your big telco.

Quote:

Originally Posted by Tallest Skil

That sounds wrong, just like everything trolls say, so I looked it up.